Trump tariffs on EU, Mexico, Canada draw retaliation threats

01 June, 2018, 16:19 | Author: Genevieve Gibbs

After all the condemnation of USA tariffs on EU metal exports and calls for unity, the European Union still has two decisions to make - how hard to hit back at the United States and whether to engage in trade talks with Washington.

Fox - a Brexiteer who has led calls for Britain to prioritise a trade deal with the USA after Britain has left the European Union - described the tariffs as a "patently absurd" move, and said the United Kingdom government was considering counter-measures.

Canada's Foreign Minister Chrystia Freeland said Thursday that the tariffs actually violate Nafta and World Trade Organization rules, and that the country planned to begin trade litigation.

Canada has also named its proposed targets of USA goods, including a long list of food items.

U.S. President Donald Trump meets with British Prime Minister Theresa May during the U.N. General Assembly in NY, U.S., September 20, 2017.

European Union foreign policy chief Federica Mogherini said Friday: "We are living in times of geopolitical turbulence, and uncertainties, so the cooperation between European Union and China becomes even more important". Similar tariffs had already been introduced on Chinese imports.

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According to Navarro, the president's decision to end the exemptions is not about China or unfair trade but more about defending the USA against countries who are running a large trade surplus at the expense of American jobs. The US accounts for 90 percent of Canada's steel exports, however. He said: "We chose also some symbolic products like Harley-Davidson to make clear here is a red card".

Now they put their noses to the grindstone and get back to the North American Free Trade Agreement.

"Earlier today, this message was conveyed to Prime Minister Justin Trudeau of Canada: The United State will agree to a fair deal, or there will be no deal at all", Trump said. Ross is leaving Friday for Beijing for talks aimed at preventing a trade war with China.

Trump's announcement lifted American steel and aluminum stocks because those companies stand to benefit from penalties against their foreign competitors. The retaliatory tariffs they've promised make no more sense in narrow economic terms than the US tariffs they're objecting to.

They will be "hit hard" by the new U.S. tariffs, according to UK Steel Director Gareth Stace.

The tariffs, set to take effect at midnight, happened to coincide with the Cansec trade show, in which numerous world's largest defence companies descend on Ottawa each year to pitch their wares to government. Ryan said there are better ways to help American workers and consumers and that he plans to work with Trump on "those better options". "I do not believe we can proceed in any significant way on NAFTA before the July 1 election", said Dan Ujczo, of the firm Dickinson Wright PLLC.

Trump imposed the steel and aluminum penalties under a 1962 law that gives the president broad power to increase or reduce tariffs on goods deemed critical to national security. "In an increasingly protectionist world, inheriting the EU's old trade deals and winning new ones will be tougher than ever".

"And we are working very hard to remind our American partners that we have such an integrated procurement supply chain that it's very difficult to fathom that there would be a security risk imposed by Canada".

Raj Shah, a White House spokesman, told Fox News: "The president's actions are about protecting American steel, American aluminum".

Export powerhouse Germany is highly reluctant to deepen the trade war, and until the last minute hoped to reason with Trump.

"Our basic objectives with China are to sell them more product, get less in the way of tariff and non-tariff trade barriers, and then ultimately, and most importantly. deal with the problems of intellectual property, technology transfers, the whole litany of high-tech things", he told CNBC.

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